Manufacturers see increase in new orders
New orders for computers, machinery and other capital goods rose last month, a sign that manufacturing and business investment will continue to add fuel to the recovery.
The government said Wednesday that orders for all long-lasting or durable goods rose 2.2% in February from the prior month. The increase, however, was slightly below analysts’ expectations and didn’t offset the 3.6% decline in January.
While far from spectacular, the rebound in demand still offered some encouraging signs: New orders for motor vehicles were up 1.6%, and they jumped 6.6% for computers and related products. Orders for appliances and electrical equipment remained soft, reflecting the still-depressed housing market.
The manufacturing sector has been a star in this economic recovery. And though there have been some signs that activity may be dimming a bit, Wednesday’s report from the Census Bureau, along with surveys of regional manufacturers, point to a pick-up in industrial output in the coming months.
